Hong Kong Connect Opens China ETF Market to Global Investors
- Four ‘feeder’ ETFs in launch project to connect markets
- Regulators mulling broader mainland trading links since 2016
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China’s fast-growing $157 billion market for exchange-traded funds became directly accessible to overseas investors Friday, at least four years since the plan was first hatched.
Four so-called “feeder” ETFs began trading in Shenzhen and Hong Kong, the first batch in a project aimed at connecting the two markets. The Shenzhen funds track the Hang Seng China Enterprises Index and the S&P New China Sectors Index, while the Hong Kong-listed ETFs follow the benchmark CSI 300 Index and a gauge of China’s 5G companies.